The maritime shipping crisis has forced shipping firms worldwide to join alliances to improve their competitiveness. Such alliances have also been set up in Vietnam.

Analysts once predicted that the shipping crisis bottomed out in the 2012-2013 period and the shipping industry would bounce back later.

However, this did not occur. The volume of freight remains surprisingly low, the demand is low, and there are too many vessels.

On international routes, Vietnamese container shipping firms can be hired as feeders only, and still cannot serve long-distance routes.

Leading brokerage firms in the shipping industry had said that the world shipping market would enter a recovery period in the next few years.

Under WTO commitments, after international shipping firms were allowed to set up 100 percent foreign owned businesses in Vietnam, they increased investment in Vietnam instead of only collecting goods at large ports such as Hong Kong, Singapore, Kaohsiung and renting feeders to carry goods to ports.

In mid-2016, Maersk Lines which has mother ships transshipping goods from Cai Mep International Terminal (CMIT) to the east and west coasts of the US, proposed to MOT (Ministry of Transport) to allow its vessels to run on domestic routes to collect Vietnam’s imports/exports from the northern and central regions to carry to the CMIT terminal.

Joining hands

Vinalines CEO Nguyen Canh Tinh said connecting subsidiaries to improve resources and competitiveness, and to open new routes, is one of the most important plans being implemented by Vinalines.

Source: Hellenic Shipping News.